Subsidy Control Bill (First sitting)

Alexander Stafford Excerpts

Tuesday 26th October 2021 Public Bill Committees

[The Chair]

I am afraid that this might be the last question.

[Alexander Stafford (Rother Valley) (Con)]

Q On the map situation, it seems to me that you are trying to recreate the previous situation with the EU. If you mention Grimsby, you might as well mention Rother Valley. I can tell you that the previous system does not work. My concern is that if areas get more prosperous, they will be over-subsidised, and if areas get less prosperous over the next five or 10 years, they will miss out on subsidies. To me, there is no flexibility with the map. Could you talk to me briefly about how you will keep it flexible, so that when areas change financially, they can benefit or, equally, come out of the system we have in mind?

Professor Fothergill: First, I would remind you that the map is not simply an EU concept. If anything, an assisted area map was something that the UK sold to the European Union as being a good idea, because we had done it for lots of years. The point is that the map should not be set in stone for all time, of course. Indeed, over the years, the assisted area map in the UK has evolved and changed. Under the EU rules, it used to change on a seven-year cycle. I remember that even before we joined the European Union—I am getting long in the tooth—we changed and revised our assisted area map on several occasions. If an area gets more prosperous, it will come down a tier. If another area is hit by a closure of a major employer, we would have the flexibility to up its status on the map. The map is not for all time; it is a tool, and the details can be adjusted.

[The Chair]

I am afraid that brings us to the end of the time allotted for the Committee to ask questions. I thank the witnesses on behalf of the Committee.

Examination of Witnesses

Thomas Pope and Professor Stephanie Rickard gave evidence.